Connecticut House Bill HB06203

Connecticut 2015 Regular Session

• Introduced: 1/22/15
• Refer: 1/22/15

Caption

An Act Concerning The Uniform Commercial Code And The Electronic Fund Transfer Act.

Impact

The bill's impact extends to various financial institutions and their operational frameworks within the state. By adopting the 2012 amendments to the UCC, the legislation aims to provide consistency in the regulation of remittance transfers. This change would enhance compliance and operational clarity for banks and other financial services providers, thus potentially fostering greater consumer protection in remittance transactions. The modifications could simplify the process for funds transfer by aligning state and federal regulations, which may reduce confusion among consumers and businesses alike.

Summary

House Bill 06203 aims to amend section 42a-4a-108 of the general statutes in Connecticut. The main goal of the bill is to ensure that Article 4A of the Uniform Commercial Code (UCC) applies to remittance transfers that may not qualify as electronic funds transfers under the federal Electronic Fund Transfer Act. This amendment seeks to clarify the jurisdiction and applicability of the UCC regarding newer forms of financial transactions, which have become increasingly relevant in the digital age.

Contention

During discussions surrounding HB 06203, points of contention could arise concerning the scope of regulatory authority and the implications for providers of electronic fund transfer services. Some stakeholders may argue that the broad application of Article 4A to remittance transfers could impose additional regulatory burdens on smaller financial institutions, potentially impacting their ability to compete with larger entities. Conversely, advocates for the bill may emphasize the importance of robust consumer protections in the rapidly evolving financial landscape, asserting that aligning state laws with federal standards is necessary for consumer confidence and accessibility.